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Lucy Ardern | May 20th, 2011

Development  in Coomera could skyrocket following a council plan to target a specific part of the Coast for heavily discounted building charges. Gold Coast City councillor Peter Young said as part of general reductions in building charges, the construction industry had been asked to nominate a suburb for bigger cuts. “We are happy to look at figures of up to 50 per cent less in fees,” he said.

Cr Young said he saw the growth corridor in the northern Gold Coast area as the biggest opportunity to kick-start development with a major drop in fees. Urban Development Institute of Australia Gold Coast boss Steve Harrison agreed that the Coomera-Pimpama area was the most likely candidate.   “The industry and the city as a whole could get a lot out of it if things started moving there,” he said. “This is the last big greenfield area of the Gold Coast.”

Mr Harrison said the Coomera Town Centre was the “most over-planned area of Australia” and an incentive like this could finally get the location moving. “It is particularly important given the large unemployment rate in the northern Gold Coast area,”  he said.Mr Harrison is also pushing for bigger cuts to infrastructure charges for infill development because of the higher costs associated with it and emphasis on brownfield development for the future of the Gold Coast. 101,000 of the 143,000 of the dwellings planned for the Gold Coast under the South-East Queensland Regional Plan are infill developments,” he said.

Council presented a plan to members of the UDIA, Property Council of Australia and Master Builders Association this week that would see infrastructure fees fall further than the levels announced by the State Government last month. It has been proposed that charges for houses are set at $27,000 and one-bedroom apartments do not go over $13,500. Industry groups are expected to come up with their own proposals for changes to the current system when the groups meet again with council later this month. Council will need to vote in favour of any cuts to infrastructure charges for the new regime to proceed. Cr Young said is also hoping to put a system in place that will see the new charges applied to any developments that are yet to proceed and even those that are underway. He is calling on the State Government to also drop its road charge to those development applications DAs, which would ensure the same level of fees are applied to all projects. The State Government has already promised to scrap the road charge for three years from July 1, but the legislation is not retrospective and will only apply to new DAs.

>>>Coomera building fees could be cut in half Local Business | goldcoast.com.au | Gold Coast, Queensland, Australia.

Renee Viellaris | The Sunday Mail (Qld) | May 29, 2011

Unstoppable momentum: State Treasurer Andrew Fraser says decentralisation of industry and the mining boom mark II will lead to Queensland’s population reaching 7.2 million by 2031.

Regional Queensland is facing a population onslaught, with new modelling predicting an extra 800,000 people will squeeze into the state’s resource-rich communities in the next 20 years. The “rise of the regions” will raise significant challenges for public health, transport and education, as well as the ability for companies outside mining and tourism to find workers. State Treasurer Andrew Fraser will release the Office of Economic and Statistical Research population report today, projecting growth rates to 2031 and showing a vastly different state to today’s. “Decentralisation of industry and of course mining boom mark II are both significant factors in Queensland’s rise of the regions and it is one trend that is unlikely to be reversed,”  Mr Fraser said.

Queensland’s population, now 4.6 million, is projected to increase by as much as 2.6 million during the next 20 years, reaching 7.2 million by 2031 and breaking the 11 million barrier in 2056. Births and longer life spans – and not interstate migration – are the biggest contributors to Queensland’s population growth.  However, the need for overseas skilled workers will continue to be a factor. The report identifies the eastern regional local government area – which includes Gladstone, Mackay, Toowoomba, Bundaberg, Cairns, Townsville and Rockhampton – as the population growth hot spots.

The region’s population of 1.3 million is expected to explode to 2.1 million in two decades, a rise of more than 61 per cent. According to the report: “The continuing demand for resources is expected to drive population growth throughout much of the region, despite the increasing use of non-resident workers, who fly or drive in and out to mining sites. “While the Gold Coast and Brisbane are projected to experience slower growth in the next 20 years, southeast Queensland will still absorb the biggest overall increase – an extra 1.8 million residents . By 2031, the equivalent of the entire state’s current population will be crammed into the southeast corner.

Planners in the growth corridor city of Ipswich, west of Brisbane, will face one of the greatest challenges – finding room for an extra 175,600 residents by 2031. Aged services will become an increasingly important factor over the next 20 years, when one in five Queenslanders will be 64 years or older.

>>>>>People to pour into booming regions | Courier Mail.

Almost 15 months ago I stood before an audience in Perth (followed by all other mainland capitals and many regional centres) and said that Australia’s immigration numbers would continue to remain strong into the foreseeable future. I went on to say that being an election year we may hear all sorts of opinions and policy proposals surrounding this topic but that regardless of what was said and who was in power “Australia Must Maintain Strong Immigration Levels”. Following that, Kevin Rudd appointed Tony Burke as Australia’s first population minister and was subsequently rolled as PM; in part because he wanted a “Big Australia”.

While there was never any doubt in my mind that population growth would be a front and centre issue and draw much attention from the media and public… as it turns out it has consumed public debate and government policy even more than I imagined.

Sustainable Population

What tha? When Kevin Rudd was rolled in the middle of last year and Julia Gillard took over the reins as prime minister she began spruiking that she “didn’t want a big Australia… but a sustainable one”.

Bla, bla, bla, bla!

Surprise, surprise… with an election now behind us and the first budget of the Gillard government handed down what did we get? A boost to immigration numbers. This is to go some way towards plugging the skills shortage gap we have as a result of the mining boom. What a load of crock! Nothing has changed in a year. Hear me right, I agree with increasing immigration levels, I’m just not some stupid “Johnny come lately” duped into believing that 12 months ago our need for higher immigration was any less than it is now. What I suspected then and I know now, was that politicians of both persuasions would say whatever was popular and likely to win votes. With an election due later in 2010, good policy was set aside for political rhetoric and spin… AKA “dribble” (drivel)!

Tough Times Never Last, But Tough People Do

For three years now we have been subjected to some of the most illogical, irrational and sensational economic commentary in this country. While it’s tantalising and effective for selling newspapers, beware… it has a paralysing effect on many, many people.

Times are tough, but what’s new? You can always find a dozen reasons to procrastinate and maintain the status quo… as most do. But to pursue your dreams requires you find just ONE REASON for taking decisive action… and refuse a life of paralysis.

There is so much already written about the imbalance between our housing requirements and housing supply; on this website and elsewhere. In fact, while writing this I received an email from another firm with a similar heading; although I am yet to read the content. This issue is not going away. We have a housing shortage, the construction of new property is down and population growth is and must continue to explode. So why are auction clearances down?

Auction Clearance Rates

The way the home buyer market works is that those on the bottom rung of the ladder; the first home owners buy the homes that those who have been in the market for a while sell… when they want to upgrade. This process repeats up the line. Because the federal government offered incentives to first home owners recently, those that were in the market to buy did so ‘en masse’. The increased demand artificially pushed values higher than would otherwise have happened. This has lead to a shortage of ‘first home buyers’ and prices (in some areas) have stagnated or softened. The fundamentals are all there though – strong population growth and a housing shortage. Don’t be fooled into thinking that just because those in the mid market are having trouble selling their homes due to the lack of new entrants into the market that we have a housing oversupply; we don’t. What we have is a ‘short term hiccup’; market equilibrium will always prevail… as water will always find its own level.

NB: You can search this website for further information on (1) how median prices work, (2) population growth and (3) the housing shortage

Developers Talking Turkey

When developers hold stock they carry holding costs; bank interest being the big one. They are also prevented from moving on to their next project; an opportunity cost. Developers in such situations generally see wisdom in offering incentives to prospective purchasers. Smart investors recognise such a “perfect storm” and see the opportunity. Most people… Read more…

Riverway Point delivers an outstanding residential investment opportunity situated in one of Qld’s fastest growing areas.  Riverway Point is in a prime real estate location.  A short distance from Townsville’s Riverway Precinct and the Major sub-regional Willows Shopping Centre means that top class facilities and lifestyle are within easy reach.

The Riverway Point design incorporated 70 apartments in 2 and 3 bed options configured in 6 buildings sprawled across the expansive site surrounded by lush landscaping and generous facilities for residents. Read more…

STOP PRESS:

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North Lakes Westfield shopping centre is less than 200 metres from the property and transport, schools, kindergartens, library, sporting clubs, parks, bike-ways and the lake is all within walking distance.

The location near Westfield North Lakes is a key driver to making this property an excellent investment or first home buyer opportunity!

Check out all the details on the Property Report>>>here

To ensure you don’t miss out this time contact us on:

• Phone: (07) 5580 8888 or 0451 309 103
• Online: >>>here

There are some real gems of wisdom in the following quotes. Do you know who it was that said these?

• It has been my observation that most people get ahead during the time that others waste.
• Life is a series of experiences, each one of which makes us bigger, even though sometimes it is hard to realize this. For the world was built to develop character, and we must learn that the setbacks and grieves which we endure help us in our marching onward.
• The only real security that a man can have in this world is a reserve of knowledge, experience and ability.
• When everything seems to be going against you, remember that the airplane takes off against the wind, not with it.

Read more…

A Ukrainian migrant to Australia wanted to become a cabbie so he had to go for an eye test for his drivers licence.

He was shown a card with the text CWNSCZYZQOCTAZS.

He looked at it with wide open eyes, looking very surprised.

The examiner said impatiently… “Well?”

And the Ukrainian answered…

Read more…

The price of property on the light rail route from Southport to Broadbeach has started to rebound despite the fact the transport project’s completion is not expected until 2014.

In new price figures released by the Real Estate Institute of Queensland, Gold Coast chairman John Newlands said the city had fared better in the March quarter than in any other quarter in more than 12 months.  He said Gold Coast property prices had “held their own”, unlike other capital cities such as Brisbane and Perth, which had recorded decreases in property values.

Infrastructure such as the $1 billion Rapid Transit project and the possibility of the 2018 Commonwealth Games coming to the Coast had boosted confidence, Mr Newlands said. “The Gold Coast in the last quarter has maintained its median price … it is certainly showing signs of stabilising and it is giving people confidence again,” he said. “For the last two years we have seen prices peeling back … but prices are now holding their own. “Properties along the light rail, in particular, have really firmed up and if we were to get the 2018 Commonwealth Games that would be the jewel in the crown. “We would see the benefits immediately. There are green pastures ahead.”

via Light rail property values rebounding Real Estate | goldcoast.com.au | Gold Coast, Queensland, Australia.

Melaleuca is located in the growing region of Sippy Downs, part of the Maroochy Shire, and is positioned for growth in the heart of a master planned community just 400m from the University of the Sunshine Coast and directly opposite the planned $150 million Town Centre to begin construction this year. The new Business and Technology Precinct is next door. Read more…

The recent Federal budget delivered what is basically good news for residential property investors in a couple of ways. Firstly, immigration numbers have been increased which adds further demand to residential markets already under-supplied because of the strong population growth of the past few years. Secondly there is not much in this budget to stimulate the supply of new property to meet the increasing demand. Many expected that the federal government would have done something more to address this, but apparently not.

Another factor in the Federal budget is – no changes were made to personal marginal tax rates. Not reducing marginal tax rates supports and encourages investors to continue to use leverage and negative gearing when buying new residential property - the preferred investment asset for the majority of Australians. The overall benefit being the provision of rental accommodation by private investors rather than the government.

I am sure most of us agree that the government does not do a good job of supplying public housing in an efficient manner. You may remember in a recent article I mentioned that the Federal Housing Minister Mark Arbib has called for private investment into the state housing market, labelling the present system unsustainable and forecast a 28 per cent spike in demand for housing in the next decade.

For those who are concerned about the ‘what ifs’ of the government possibly making changes to negative gearing, Federal Treasurer Wayne Swan clearly stated in response to the Henry Tax Review that the Government would not seek to tamper with negative gearing or capital gains tax provisions because of the problems experienced during the failed attempt to quarantine losses from 1985 to 1987 as well as the negative impact it would have on the supply of private rental accommodation. They won’t try that one again!

The ABC 7:30 Report commented on 13 May 2011 that the Gillard Government would announce Australia’s first-ever population strategy. “It’s been more than a year in the making. You might remember the controversy the former Prime Minister Kevin Rudd caused when he… Read more…